after Facebook's hugely publicized botched IPO and Nasdaq error, all the experts again said the web 2.0 bubble had burst
I'd dispute Facebook's IPO was botched if you are treating it as a real business rather than a bubble stock. With a real business you may as well sell stock for what buyers will pay and if the price subsequently fluctuates then that's what stock prices do. The idea that flotations must be underpriced so you can give the impression of price growth and get more investors later is more of a Ponzi scheme way of doing things.
While I can't speak to the intent of the grandparent, independent of pricing strategies, Facebook's IPO was botched at the execution level: NASDAQ fell over under the load and transactions were a big mess [1].
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I'd dispute Facebook's IPO was botched if you are treating it as a real business rather than a bubble stock. With a real business you may as well sell stock for what buyers will pay and if the price subsequently fluctuates then that's what stock prices do. The idea that flotations must be underpriced so you can give the impression of price growth and get more investors later is more of a Ponzi scheme way of doing things.
While I can't speak to the intent of the grandparent, independent of pricing strategies, Facebook's IPO was botched at the execution level: NASDAQ fell over under the load and transactions were a big mess [1].
[1] http://dealbook.nytimes.com/2012/07/01/facebook-not-feeling-...
EDIT: upon re-reading, sounds like this is exactly what the GP was referring to.